ZKB Increases Provisions Relating to the US Tax Dispute

ZKB Increases Provisions Relating to the US Tax Dispute

Zuercher Kantonalbank (ZKB), a bank often referred to as Category 1 under the US Program raised its risk provision in the first half of 2014 to $765m (from CHF 688m at the end of 2013 to CHF 697m H2, 2014). There is no mention of how much of this provision is dedicated to the US tax dispute. ZKB also did not comment on a potential settlement with the US. Nevertheless

This announcement was part of the reporting of the H1/2014 results.

Nevertheless the bank’s capital ratio at the end of June was 15.9 percent of risk-weighted assets, exceeding the current regulatory requirement of 13.7 percent.